Australia’s project pipeline has surged to nearly $1.2 trillion in September, according to Deloitte Access Economics’ latest Investment Monitor. This represents a 7 per cent increase compared to the previous year, fuelled by structural growth opportunities. Deloitte Access Economics provides economic insights and advisory services to businesses and governments, helping them make informed decisions. Their Investment Monitor offers a comprehensive overview of investment projects across Australia.
The report highlights a shift in investment drivers, with the private sector now responsible for over 80 per cent of new projects in the September quarter. Utilities and renewable energy sectors are dominating the pipeline, spurred by the net zero transition. According to Deloitte Access Economics partner Stephen Smith, planned utilities projects have increased by $155 billion over the past two years due to the country’s commitment to achieving net zero emissions.
Data centres are also emerging as a significant area of investment, driven by the growing demand for artificial intelligence infrastructure. These projects are currently valued at $37 billion, with energy infrastructure expected to follow as processing demands continue to rise. This trend underscores the increasing importance of technology and sustainable energy in Australia’s economic landscape.
Looking ahead, Deloitte anticipates that business investment will remain modest through the end of 2025. However, a gradual recovery is expected in 2026 as business confidence improves and structural opportunities, particularly in net zero and AI-related sectors, continue to bolster the project pipeline.
